ONGC, BP and Reliance discuss $1 billion shared offshore gas hub in India’s Mahanadi basin
State‑run Oil and Natural Gas Corporation, BP and Reliance Industries are in early talks to build a common offshore facility in the Mahanadi basin that would handle natural gas and condensate from deep‑water fields. The Ministry of Petroleum and Natural Gas has proposed the project, and technical advisers are to be appointed shortly. The companies say the hub could be ready in three to four years, with the design still undecided between a floating production unit or a fixed installation.
Why it matters
If the hub proceeds, the three operators could lower capital outlays for marginal discoveries and accelerate revenue generation, which may improve the economics of their Indian offshore gas projects. The shared‑infrastructure model could also make smaller fields commercially viable, potentially increasing domestic gas supply.
Key facts
- 1The proposed common offshore facility is valued at around US$1 billion. psuwatch.com
- 2Technical consultants are expected to be appointed soon. psuwatch.com
- 3The project is at a preliminary stage and no final decision has been made. psuwatch.com
- 4Development of the hub is estimated to require at least three to four years. news9live.com
- 5ONGC discovered gas on 18 September 2026 in well MN‑DW18‑1‑H‑D, drilled to a total depth of 1,623 metres and encountering gas in the 1,441–1,452 metre interval. maritimegateway.com
- 6The design could be either a floating production, storage and offloading (FPSO) unit or a permanently installed offshore structure. news9live.com
Summary written by AlphAI AI Desk from 5 of 5 sources. Not investment advice. Figures are as stated by the linked sources.